CONCERNS MOUNT AS REGIONAL SCHOOL BUS OPERATORS STRUGGLE TO PAY FOR BASICS WHILE "DISASTROUS" FUNDING FORMULA TAKES HOLD

"September of Discontent" Could Lead to Student Bus Disruptions as Operating Costs Soar

TORONTO, Aug. 30, 2024 /CNW/ - The Ontario Government has severely slashed funding for school bus operators in many regions across the province, leading to urgent concerns about the ability to keep buses on the road amidst increasing costs.

A new funding formula that contained punishing fuel cuts and other changes has negatively affected each region. As a result, there isn't enough money flowing to the operators to pay for basics like adequate driver compensation, driver retention bonuses, and new buses.  To make matters worse, The Ministry of Education imposed a devastating reduction of between .56 to .58 cents per litre of fuel, which has left operators in certain regions worried about filling their tanks to cover the millions of kilometres a day travelled by their professional drivers.

"Some bus operators are still owed millions for the 2023/24 school year and are heading into this new year without knowing how they will be paid for fuel," said Nancy Daigneault, Executive Director of School Bus Ontario (SBO).

The new funding formula that went into effect in 2023/24 school year, created an overwhelming amount of confusion among school boards and transportation planners due to a complicated patchwork of different local contracts. Some bus operators faced fuel cuts and others faced issues with funding for minivan routes, and still more were left without direction on overall rates.  In fact, minivans for special education were originally left out of the original funding formula - a stunning oversight by the Education Ministry.

"This decision to radically cut fuel funding flies in the face of common sense.  Ontario families know very well that prices are soaring for everyday necessities, so why is the Ministry slashing what it pays the school bus operators for fuel by .56 cents to .58 cents per litre? This must be addressed," said Daigneault.

"The first day of school is upon us, and once again bus operators are facing funding shortfalls that not only create a September of discontent, but raise the possibility of even more school bus cancellations and disruptions in some regions.  Operators require proper funding so they can focus on job-one: getting our kids to school and home safely."

A ministry report on cancellations and delays in the Ottawa area last year points to a reduction in transportation funding as a result of the new formula, which does not recognize the true cost of operating buses, resulting in overall reductions in key areas. These cuts have left operators shouldering skyrocketing costs for bus maintenance, fuel, and driver wages.  

"The new Minister undoubtedly has her hands full ahead of the first day of classes, but we are asking Jill Dunlop to intervene and fix the fuel issue so operators can safely and reliably transport our children to school," said Daigneault.

The costs to operate school buses have risen dramatically in the last four years:

• Price of new buses 71% higher
• Bus parts, tires, and brakes up 50%
• Insurance rates have risen more than 30%
• Driver wages up 20%

"The confusing formula begs the question 'who's running the show?", added SBO President, Nick McRae.  "We're not delivering groceries, we are safely transporting a very special cargo - our children.  And these cost increases make it challenging for operators to make ends meet, leaving them scrambling to cover expenses. That's no way to do business," said McRae.

School Bus Ontario is calling upon newly appointed Minister of Education Dunlop to immediately reverse the cuts to fuel funding, to ease pressures facing bus operators worried about not having enough money to pay for gasoline required to complete their routes.

SOURCE School Bus Ontario

Nancy Daigneault, Executive Director School Bus Ontario, 647-532-6212, [email protected]